Stephens analyst Dana Hambly downgraded BioScrip Equal Weight from Overweight and lowered his price target for the shares to $3.50 from $5.00. The company "surprised the market" by announcing a merger with Option Care, Hambly tells investors in a research note. While there are "attractive elements" to the combined entity, these will materialize over "several more years," Hambly tells investors in a research note. Over the nearer term, the analyst does not see many catalysts and is concerned with "levered transformational deals." However, he expects BioScrip shares to move higher this week, with management on the road selling the deal, and settle into the $3.00-$3.50 range.